Export Sale Contract for India

Export Sale Contract Template for India

A comprehensive legal agreement governed by Indian law that establishes the terms and conditions for the international sale and export of goods from India to a foreign buyer. This document complies with Indian export regulations, including the Foreign Trade (Development and Regulation) Act and FEMA requirements, while incorporating international trade practices and Incoterms. It covers essential elements such as product specifications, pricing, payment terms, delivery conditions, quality requirements, export documentation, and dispute resolution mechanisms, ensuring protection for both the exporter and importer in cross-border transactions.

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What is a Export Sale Contract?

The Export Sale Contract is a crucial legal instrument used in international trade transactions where goods are exported from India to foreign destinations. This document is essential when Indian businesses engage in cross-border sales, requiring compliance with both Indian export regulations and international trade practices. The contract addresses key aspects including but not limited to product specifications, pricing, payment terms (often involving Letters of Credit), delivery conditions, quality standards, and export documentation requirements. It ensures compliance with Indian legislation such as the Foreign Trade (Development and Regulation) Act, FEMA, and the Foreign Trade Policy, while also incorporating international commercial terms (Incoterms). The document is particularly important for protecting both parties' interests in international transactions and providing a clear framework for dispute resolution under Indian jurisdiction.

What sections should be included in a Export Sale Contract?

1. Parties: Identification of seller and buyer with complete legal names, addresses, and registration details

2. Background: Context of the export arrangement and brief description of the business relationship

3. Definitions: Definitions of key terms used in the contract, including trade terms (Incoterms) and technical terminology

4. Subject Matter of Contract: Detailed description of goods being exported, including quantity and basic specifications

5. Price and Payment Terms: Contract price, currency, payment method, timeline, and documentary requirements for payment

6. Delivery Terms: Incoterms rule, delivery schedule, shipping arrangements, and transfer of risk

7. Quality and Inspection: Quality standards, inspection procedures, and certification requirements

8. Documentation: List of required export documents, certificates, and responsibilities for documentation

9. Packaging and Marking: Requirements for packaging, labeling, and marking of goods for export

10. Title and Risk: Point of transfer of ownership and risk in the goods

11. Representations and Warranties: Warranties regarding quality, compliance with laws, and authority to enter into contract

12. Force Majeure: Circumstances excusing performance and procedures for handling force majeure events

13. Governing Law and Jurisdiction: Specification of Indian law as governing law and jurisdiction for disputes

14. Dispute Resolution: Mechanism for resolving disputes, including arbitration provisions

15. General Provisions: Standard boilerplate clauses including notices, amendments, and severability

What sections are optional to include in a Export Sale Contract?

1. Insurance: Detailed insurance requirements when not covered by chosen Incoterms or requiring specific coverage

2. Intellectual Property Rights: When goods involve patents, trademarks, or other IP rights

3. Confidentiality: When sensitive information is exchanged during the contract performance

4. Export License and Compliance: When goods require special export licenses or compliance requirements

5. Bank Guarantee/Letter of Credit: When specific payment security mechanisms are required

6. Product Support and After-Sales Service: For manufactured goods requiring post-sale support

7. Training and Technical Support: When product requires seller to provide training or technical assistance

8. Exclusivity: When parties agree to exclusive trading arrangements

9. Anti-Corruption Compliance: When required by company policy or specific regulatory requirements

What schedules should be included in a Export Sale Contract?

1. Schedule 1 - Product Specifications: Detailed technical specifications of the goods

2. Schedule 2 - Price List: Detailed pricing information including any volume discounts or price adjustment mechanisms

3. Schedule 3 - Delivery Schedule: Detailed timeline for shipments if multiple deliveries are involved

4. Schedule 4 - Quality Standards and Testing Procedures: Detailed quality parameters and testing methodologies

5. Schedule 5 - Required Documents: List of all required shipping documents, certificates, and compliance documents

6. Appendix A - Form of Quality Certificate: Template for quality certification

7. Appendix B - Shipping Instructions: Detailed shipping and handling instructions

8. Appendix C - Form of Letter of Credit: Template or requirements for Letter of Credit if applicable

9. Appendix D - Compliance Certificates: Templates or requirements for various compliance certificates

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Cost

Free to use

Relevant legal definitions

Clauses

Relevant Industries

Manufacturing

Textiles and Garments

Agricultural Products

Pharmaceuticals

Automotive Components

Electronics

Chemical Products

Engineering Goods

Gems and Jewelry

Food Processing

Leather Products

Handicrafts

Metal and Mining Products

Relevant Teams

Legal

Export Operations

International Sales

Finance

Supply Chain

Logistics

Quality Assurance

Documentation

Compliance

Risk Management

Commercial Operations

Relevant Roles

Export Manager

International Sales Director

Trade Compliance Officer

Supply Chain Manager

Chief Financial Officer

Legal Counsel

Commercial Director

Logistics Manager

Documentation Manager

Quality Assurance Manager

Business Development Manager

Trade Finance Manager

Shipping Coordinator

Contract Administrator

Risk Management Officer

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What is a Export Sale Contract?

What sections should be included in a Export Sale Contract?

What sections are optional to include in a Export Sale Contract?

What schedules should be included in a Export Sale Contract?

Authors

Alex Denne

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